Fair Value Measurements

9 Months Ended

Sep. 30, 2013

Fair Value Disclosures [Abstract]

Fair Value Measurements

7. Fair Value Measurements

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A three-level fair value hierarchy prioritizes the inputs used to measure fair value. The hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of inputs used to measure fair value are as follows:

• Level 1 – Quoted prices in active markets for identical assets and liabilities.

• Level 2 – Quoted prices in active markets for similar assets and liabilities, or other inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.

• Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets and liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs.

	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)			Total
At September 30, 2013
U.S. non-qualified deferred compensation plan	$	12,729	$	—		$	—		$	12,729
Assets designated for retirement and pension plans		—		24,700			—			24,700
Derivative designated as cash flow hedge		—		119			—			119
Derivatives designated as fair value hedges		—		(30	)		—			(30	)
Warrants and equity securities		—		—			453			453
Acquisition earnout accruals		—		—			(11,518	)		(11,518	)
	$	12,729	$	24,789		$	(11,065	)	$	26,453
At December 31, 2012
U.S. non-qualified deferred compensation plan	$	11,401	$	—		$	—		$	11,401
Assets designated for retirement and pension plans		—		24,096			—			24,096
Derivatives designated as fair value hedges		—		(70	)		—			(70	)
Warrants and equity securities		—		—			501			501
Acquisition earnout accruals		—		—			(10,270	)		(10,270	)
	$	11,401	$	24,026		$	(9,769	)	$	25,658

Substantially all of the Company’s assets on the Condensed Consolidated Balance Sheets are measured at fair value on a recurring basis measured using Level 1 inputs, except those noted in the table above. The Level 2 assets above are valued using a market approach. The Level 3 liabilities are: (i) accruals for future earnout payments related to prior acquisitions, the values of which are determined based on discounted cash flow models, and (ii) warrant and equity securities, the values of which are determined using a valuation model. The Company considers the recorded value of its financial assets and liabilities, which consist primarily of cash and cash equivalents, accounts receivable, and accounts payable, to approximate the fair value of the respective assets and liabilities at September 30, 2013 and December 31, 2012 based upon the short-term nature of the assets and liabilities.